First-time home buyer programs in Lacey, Washington — down payment assistance
Lacey Down Payment Assistance

First-Time Home Buyer Programs & Down Payment Assistance in Lacey, Washington

First-time home buyer programs in Lacey, WA come in three shapes: a forgivable second lien with no payment, a repayable second lien that also reaches closing costs, and a refinance-cost option, each paired with a government-backed mortgage and none requiring a first-time buyer.

Current Program Snapshot

Current down payment assistance guidelines, updated from one source.

The current program figures below are hydrated from Lendmire’s down payment assistance standards source at each visit, so the options shown for Lacey, WA are the options in force.

Down Payment Help
Up to 5%

Of the purchase price

Up to this share of the price can come from assistance: the largest option reaches closing costs as well as the down payment, while the smaller options cover the 3.5% FHA minimum.

Forgivable
3.5%

Covers the whole FHA down payment

The FHA minimum down payment is 3.5%, and this option covers all of it with no interest and no monthly payment; it is forgiven after 36 on-time payments on your first mortgage.

Income Limit
None

On every option offered here

Every option offered in Washington is open regardless of income, so there is no ceiling to stay under; the file is placed on the price, the credit score, and the home.

Credit
640

Credit score to start

This is the lowest score that opens an option here — the forgivable second liens; the repayable options start a little higher, so a stronger score opens more choices.

Assistance options offered in Washington — how much, what it costs to carry, and the credit it takes
OptionAssistanceWhat you repayCredit · mortgage · units
Forgivable second lien — three-year3.5% of the priceNothing after 36 on-time mortgage payments640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units
Forgivable second lien — five-year3.5% of the priceNothing after 60 on-time mortgage payments640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units
Repayable second lien — thirty-year amortization, ten-year balloon3.5% or 5% of the priceSecond lien, 30-year amortization, balloon in year 10660+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units
Closing-cost repayable second lien3.5% or 5% of the priceSecond lien, 30-year amortization, balloon in year 10660+ · FHA 203(b) · 1–2 units
Refinance-cost second lien (repayable)1% to 3.5% of the balanceSecond lien, repaid660+ · FHA 203(b) · 1–4 units

Current down payment assistance snapshot · updated September 7, 2026 · five options offered in Washington · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.

Program Notice

Nothing on this page is a Loan Estimate, an approval, a quote, or a commitment to lend. Down payment assistance eligibility, amounts, and terms depend on the first-lien program, the option, the property, the buyer’s credit and category, and full underwriting through select wholesale lenders licensed in sixteen states; the calculator’s rate is an editable benchmark and its payment an estimate. Lendmire is a mortgage broker and is never the lender, and is not affiliated with or acting on behalf of FHA, VA, USDA, HUD, or the federal government.

Lacey Down Payment Assistance Guide

What down payment assistance is — and how the options differ.

The first-time home buyer programs work the same way in Lacey, WA as anywhere in the footprint: a government first lien, an assistance option sized as a percentage of the price, and a set of rules about credit, units, and eligibility that decide which option fits.

For the program overview, see Lendmire’s down payment assistance program, or the statewide guide at Down Payment Assistance in Washington.

01.

Assistance covers the FHA down payment

An FHA purchase asks for a minimum investment from the buyer; the assistance covers it, measured as a percentage of the lesser of price or value, and the largest option carries a further share for closing costs and prepaids.

02.

Four shapes: grant, forgivable, repayable, refinance

For a Lacey buyer the choice is about cost to carry. The forgivable options cost nothing if the first lien stays current through the forgiveness period; the repayable option is a second loan with its own disclosure and a balloon that reaches closing costs.

03.

Credit floors, mortgage programs, and unit counts

Credit decides which options are open; the first lien decides which options attach; the property’s unit count and type decide which option carries it. The options table shows all three side by side.

04.

Eligibility without a first-time-buyer rule

No option requires a first-time buyer, and no option carries an income limit beyond the first lien’s own rules; a Lacey buyer who has owned before qualifies on credit, first lien, and property alone.

The Core Calculation
Lesser of price or value × the option’s percentage = the assistance; minus the down payment = what reaches closing costs

The assistance is measured on the price, so the calculator starts there. It then applies the option you choose, your own cash, and an editable benchmark rate to show the loan, the mortgage insurance, and the payment.

Lacey Market Context

Where Lacey’s first-time and moderate-income buyers shop — and how the assistance fits.

Where Lacey, WA’s renters live, what a median home costs, and what a median household earns — Census estimates give the backdrop for a down payment assistance file.

Read the figures as backdrop. Value and income rarely move at the same pace; the market figures below show how far Lacey’s prices have moved against its incomes, and the calculator shows what that means for the minimum investment.

57,737Population (ACS 2020–2024)
$457,100Median owner-occupied home value (ACS 2020–2024)
44.1%Households that rent (ACS 2020–2024)
$90,625Median household income (ACS 2020–2024)

Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.

Lacey Submarkets

Distinct Lacey submarkets, distinct property rules.

Lacey’s entry-level stock is not one market. Each submarket below carries its own price points, its own property rules, and its own fit with the assistance options.

01.

Older neighborhoods and renovation loans

The older streets of Lacey are full of homes that need work, and the assistance pairs with a renovation first lien: the assistance is figured on the purchase price, while the loan itself covers price plus repairs. Median gross rent in Lacey is about $1,870 a month — the payment many renters already carry.

02.

Two-to-four-unit homes, owner-occupied

A buyer who lives in one unit of a Lacey duplex or triplex can use the program on the whole building; the option that allows up to four units makes a house-hacking purchase reachable with the minimum investment covered. Median household income in Lacey sits near $90,625 on the latest Census estimate.

03.

New construction and infill

Infill and new-build homes in Lacey pair with the assistance as long as the property is the buyer’s primary residence and the first lien is a government program. About 44% of Lacey’s households rent — roughly 10,323 renter households, the pool the program exists for.

04.

Condominiums close to work

In Lacey, a condominium near the job is the first home many buyers can reach; the program pairs with it as long as the project clears FHA review, and the assistance covers the minimum investment the same way it would on a house. Lacey counts a population near 58K within the Olympia-Lacey-Tumwater, WA area.

05.

Townhomes and attached homes

In Lacey, a townhome in a planned development pairs cleanly with the program; the association’s rules and dues are read alongside the first lien, and the assistance covers the down payment. The median owner-occupied home value in Lacey runs near $457,100 on the latest Census estimate.

06.

Manufactured homes on owned land

For Lacey buyers looking at manufactured housing, the assistance is available on owned land, with single-width homes reaching only the option that accepts them. On a home at Lacey’s median value, the FHA minimum investment comes to about $16,000 — the figure the assistance is built to cover.

Market context only. The option for a Lacey file comes from the credit tier, the first lien, the property, and the eligibility category, never from the submarket.

How Lacey Buyers Use the Program

Four ways Lacey buyers put down payment assistance to work.

How Lacey buyers put the program to work depends on the first lien, the property, and what the help needs to cover; these four paths cover most files.

Renovation

Buy a home that needs work with a renovation mortgage

Renovation purchases in Lacey, WA qualify for the assistance on the price before repairs, so the down payment help and the repair budget close together.

Refinance

Cover the costs of an FHA refinance

Owners in Lacey with an FHA loan and little cash for a refinance use the refinance-cost option, subject to its own credit floor and combined-leverage limit.

Government mortgages

Pair the assistance with a USDA or HUD-184 mortgage

Where the first lien is USDA or HUD-184, the second-lien assistance options carry the file in Lacey, forgivable or repayable by the buyer’s choice and credit.

First purchase

Buy a first home with the down payment covered

The most common Lacey, WA file: an FHA first lien, the assistance covering the minimum investment, and the buyer’s own funds reserved for moving costs and reserves.

Assistance Sizer

Size the assistance on a Lacey price before requesting a quote.

The calculator does what a loan officer’s first pass does for a Lacey file — sizes the minimum investment, applies the option, builds the FHA loan with mortgage insurance, and estimates the payment — using the current program figures and an editable benchmark rate.

Editable FHA scenario with assistance

Lacey FHA payment with assistance

Starting assumptions reflect Lacey’s home values; change any field and the loan, the mortgage insurance, and the payment are recalculated.

Editable benchmark: 6.71% as of September 3, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.

FHA minimum investment on this price.
Annual mortgage insurance rate applied, and for how long.

Illustrative starting assumptions: a $455,000 price near Lacey’s median owner-occupied home value (kept where an FHA first lien is realistic), the strongest assistance option offered in Washington applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Washington (U.S. Census Bureau). Every field is editable.

Estimated total monthly housing payment
Principal and interest, FHA mortgage insurance, taxes, insurance and dues, on the total loan with the upfront premium financed.
Total down payment (your cash plus assistance)
Assistance applied to the down payment
Assistance left toward closing costs and prepaids
Your cash toward the down payment
Base loan amount
Upfront mortgage insurance premium, financed
Total loan amount
Principal and interest
Monthly FHA mortgage insurance
Taxes, insurance and dues
Housing and total debt ratios (with income entered)
Where the file lands

Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not an FHA loan quote; your rate is set by the lender at lock. FHA mortgage insurance follows HUD’s published schedule for the term, leverage and loan size entered; taxes, insurance and dues are editable estimates; closing costs are not included; a repayable second lien adds its own payment, which is not shown here. Consumer mortgage lending licensed in sixteen states. Lendmire is not affiliated with or acting on behalf of FHA, USDA, HUD, or the federal government.

Down Payment Assistance vs. the Alternatives

Same buyer, four very different closings.

A Lacey, WA buyer can reach the closing table several ways; the difference is where the minimum investment comes from and what it costs to carry afterward.

Structure Comparison

Assistance on a government loan, saving the minimum, or a gift.

FHA with down payment assistance

The structure for a Lacey buyer who qualifies for the payment but not the cash to close — the help is sized on the price and the option decides what, if anything, is owed afterward.

FHA with your own minimum investment

For a Lacey, WA buyer with the cash in hand, the plain FHA purchase is the cleaner file; the assistance exists for the buyer who does not have it yet. For the first lien itself, see Lendmire’s FHA loan program.

USDA or HUD-184 with assistance

USDA and HUD-184 first liens pair with the forgivable and repayable options, which then cover closing costs and prepaids rather than a down payment the first lien does not require. For the USDA first lien, see the USDA loan program.

Where each one fits

If the payment fits but the cash to close does not, down payment assistance is the structure; if the cash is there, the plain purchase; if the property is USDA-eligible, the USDA first lien with assistance for costs.

Typical File Components

What to prepare for a Lacey scenario review.

A typical starting file for a first purchase with assistance.

Homebuyer education certificateA homebuyer education certificate where the first lien asks for one; the assistance options offered in Washington do not require it.
Eligibility categoryProof of occupancy intent and the signed assistance application; the options offered in Washington need no eligibility category.
Seasoned fundsAny gift or savings used alongside the assistance, documented the way the first lien requires.
Mortgage programFHA, USDA, or HUD-184 — with the county loan limit checked against the price, since only the repayable options carry a high-balance first lien.
Assistance (second-lien) disclosuresOn the forgivable and repayable options, the second lien is a separate loan with its own loan number and disclosures; the repayable option carries a balloon disclosure.
Income documentationPay stubs, W-2s or tax returns, and any fixed income, read against the first lien’s rules; the assistance options themselves set no income limit.

This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the mortgage, the assistance option, the property, and the eligibility category. Nothing here is legal or tax advice.

Lacey File Considerations

Local details that can change the loan.

These are the points a lender reads on a Lacey assistance file before the option is confirmed; each one can move the structure.

Before You Move Forward

Use these checks to keep the Lacey file clean and fundable.

Before making an offer on a Lacey, WA home, confirm the option, the county loan limit, and the property’s unit count and type.

  • Know the option: read the second lien as the loan it is.
  • Understand the clock: expect no resubordination and no additional liens.
  • Match the first lien: check the price against the county loan limit.
i.

The option decides what you owe afterward

A forgivable second lien costs nothing if the first lien stays current through the forgiveness period; a repayable second lien is a loan with a balloon that reaches closing costs. A Lacey buyer chooses by cost to carry first and by amount second.

ii.

The forgiveness clock on the forgivable options

The clock starts at closing and runs with the first lien’s payments; a Lacey buyer who plans to sell or refinance inside the period should expect the second lien to be paid at that point, since it is not resubordinated.

iii.

The mortgage and the county loan limit

A Lacey buyer near the county loan limit should settle the first lien’s size first; a high-balance first lien narrows the options to the repayable ones, and the choice of USDA or HUD-184 narrows them further.

iv.

Escrow holdbacks for minor repairs

A Lacey home with a small repair list does not have to wait for the work before closing; the escrow holdback carries it, within the program’s cap and timeline, with an inspection when the work is done.

v.

No stacking with other assistance

A Lacey buyer eligible for a local or employer program chooses between it and these options; they do not stack, so the comparison is made program against program before the contract is signed.

A Clear Process

From a Lacey pre-approval to keys with the assistance in place.

The process for a Lacey, WA purchase with assistance is deliberate, because the details around the assistance are what stall closings.

i.

Pick the option

The first step is the option: which ones the credit opens, which the first lien allows, and which costs the least to carry for a Lacey, WA buyer — settled before anything is ordered.

ii.

Get the mortgage approved

Lendmire packages the Lacey file for the first lien first, because the assistance follows its approval; the option’s floor and the first lien’s rules both have to clear.

iii.

Clear the property

The property side of a Lacey, WA file is where the option can change: unit count, project approval, and the loan limit are confirmed before the closing is scheduled.

iv.

Close both loans together

The Lacey closing carries both instruments: the first lien and the assistance, each documented on its own and closed together, with the education certificate in the file where it applies.

Why Lendmire

A brokerage that pairs the assistance to the loan.

An assistance file rewards preparation, and preparation is what a brokerage built for first-time and moderate-income buyers provides.

i.

The option, matched to the buyer

Lendmire reads the options offered in Washington against a Lacey buyer’s credit, first lien, property, and category before anything is ordered, and names the fit by cost to carry.

ii.

The mortgage, matched to the property

A Lacey file is matched to the first-lien program that carries the property — FHA everywhere, USDA or HUD-184 where they fit — and the assistance option follows that choice.

iii.

The right wholesale program

Assistance programs differ across wholesale lenders in what they offer and where; Lendmire places a Lacey, WA file where its credit, its first lien, and its property read best, subject to lender program eligibility.

Client Experiences

Trusted by first-time buyers & families alike.

Verified Google Reviews
Google
Joseph Edwards
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Highly recommend, Cori was awesome to work with and had great communication. She was very helpful and got us through everything to close.
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K Star Real Estate LLC
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Cori on the Lendmire team was phenomenal! She was two steps ahead through the entire process of purchasing an investment property. She was solving problems before anyone knew there could have been a problem. Great communication, great availability, all around a great person to work with. She is the reason our deal closed. We look forward to working with her again in the very near future!
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Tristen Mosley
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Alayna Pack is very knowledgeable, helpful, communicative, and transparent. Highly recommend.
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J Mills
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Leigh is absolutely the best! Professional yet personable, diligent, and incredibly responsive. She was with us throughout the process and helped us secure a competitive rate. Leigh went above and beyond to make sure all of our questions were answered, and offered deep explanations for questions that arose. We felt supported through the entire process and trust her expertise completely. 5 stars!
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Tyjuana Atkinson
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Awesome experience!!!!!!! Leigh had our best interest at heart from beginning to the end.
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Anna Hernandez
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Curt Galbraith was a Great Loan Originator and goes above and beyond for his clients, working with him on this transaction was so easy. I would recommend him for any Buyers looking to Buyer or Refinance. Great Service all around
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RustynKelli Shelton
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Brenda is absolutely one of the most professional hardworking lenders we have ever dealt with; she’s helped clients of ours and now us personally. Her communication is top notch, you never feel like you’re forgotten or left to figure things out on your own, great to answer questions and explain each step. Definitely recommend Brenda to walk along beside you in your purchase process!
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Isaac Alonzo
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As a first time home buyer Curt Galbraith was a wonderful man, he explained everything i had questions about and took time out of his day to meet up late at nights after my night shift, to explain things to me .Over all Curt was really helpful all through closing and always there when you needed him. Thank you so much Curt for helping me through out the whole process.
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Jason Fleck
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Brenda, Samantha and the Lendmire team were absolutely fantastic to work with. We had to jump through some major hurdles to get this home done, which most lenders would have gave up, they kept pushing to get this home done for us. I would absolutely recommend Brenda and team to anybody. Thank you so much for your commitment, communication, perseverance through the whole process. Jason & Brooke
Questions Lacey Buyers Ask

Lacey down payment assistance FAQs

Plain answers to the questions Lacey buyers ask most about down payment assistance, before you request a review. Every file is underwritten individually; nothing here is a commitment.

Do I have to be a first-time homebuyer?

No. None of the options requires a first-time buyer; a Lacey buyer who has owned before qualifies on credit, first lien, and property alone.

Is there an income limit?

No. The options offered in Washington carry no income limit beyond the first lien’s own rules; a USDA first lien has its own limits, and an FHA or HUD-184 first lien has none.

What first-time home buyer programs are available in Lacey?

Assistance measured as a percentage of the price, in shapes that differ by what you owe afterward: nothing if the first lien stays current, or a second loan with a balloon. Credit, the first lien, and the property decide which fits.

Do I have to pay the assistance back?

The forgivable second liens: no interest and no payment, released after the on-time payment period on the first lien, and they pair with FHA, USDA, and HUD-184 first liens. The repayable option is a loan with its own payment.

What credit score do I need?

A Lacey buyer’s credit tier decides which options are open — the options table on this page shows the floor for every option offered in Washington.

Can I use the assistance on a second home or a rental?

Primary residences only. Investment properties and second homes are outside the program.

What does Lendmire do on a Lacey first-time home buyer file?

Reads the options offered in Washington against the credit, the first lien, the property, and the category; chooses the wholesale program that carries the fit; packages the first lien and the assistance together; and manages both liens through closing. Lendmire is the broker, never the lender, and is not affiliated with FHA, USDA, HUD, or the federal government.

How does a forgivable second lien work — the small second loan behind the mortgage?

You do not pay it as long as the first lien stays current through the period; after the period it is forgiven. A sale or refinance inside the period pays it off.

What is the rate on the mortgage and on the assistance?

A scenario review produces the actual terms; the calculator here shows an estimate at a benchmark rate you can change, with the assistance sized on the price you enter.

Can I combine this with another assistance program?

One option, one first lien, one closing — no combination with other assistance.

Get Started

Talk through a Lacey assistance file before the contract is signed.

A first read of a Lacey assistance scenario takes a few minutes and commits you to nothing; the option, the category, and the property rules are explained before anything is ordered.